Opyn, a decentralized finance (DeFi) options protocol, is facing a major shift in its executive structure. Co-founders Zubin Koticha and Alexis Gauba have announced their resignation, a decision influenced by recent regulatory developments, following actions from the Commodity Futures Trading Commission (CFTC).
Charges against Opyn were filed by the commission in September after investigations into the protocol's regulatory infringements.
The charges levied against Opyn include failures in appropriate registration, inadequate customer identification procedures, and unauthorized leveraged and margined retail commodity transactions involving digital assets. In response, Opyn has agreed to a settlement that includes a $250,000 penalty and a commitment to cease any activities that violate the Commodity Exchange Act and CFTC regulations.
Shift in Leadership at Opyn
In a recent public statement, Koticha elaborated on the reasons behind their departure, emphasizing the impact of the CFTC's actions. While expressing pride in the innovative work accomplished at Opyn, particularly in the realms of structured products and derivatives, Koticha acknowledged that the current regulatory environment has precipitated their decision to leave the crypto sector.
“We spent the last six years working on incredible stuff that would’ve never been possible in TradFi — cutting edge work on the forefront of structured products and derivatives, [we] thought we were going to be in crypto for the rest of our lives. But, unfortunately and unexpectedly, this is the end of the road.” Koticha shares.
With the departure of its founding members, Opyn has appointed Andrew Leone, the former head of research, as its new CEO. Leone's background in traditional finance, particularly his experience with Japanese bank Nomura in VIX and structured volatility trading, is expected to bring a unique perspective to Opyn’s future strategies. Opyn's Squeeth token $OSQTH currently trades at $117.4 in the open market, according to data from CoinMarketCap.
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